Paying CGT on an estate asset 9 December 2022 at 9:22AM in Deaths, funerals & probate 11 replies 524 views

bobster2

So I used the online report and pay site to report a capital gain on an estate asset. I received an email saying this...

You have sent a Capital Gains Tax on UK property return to HMRC.
What you must do next
Go to GOV.UK and search for ‘Report and pay Capital Gains Tax on UK property’. Sign in to your Capital Gains Tax on UK property account. Check if you have any actions to complete.

However, there's nothing to see when I log onto the account. No actions. Can't even see the details of the return I submitted. I just want to get it paid - does anyone have any idea what happens next and timescales?

Will I get a letter in the post with a statement and options for how to pay? Or will this appear in the online account at some point?

Nobody at HMRC seems to answer the phone at the moment so can't get any answers.

Marcon

bobster2 said:

So I used the online report and pay site to report a capital gain on an estate asset. I received an email saying this...

You have sent a Capital Gains Tax on UK property return to HMRC.
What you must do next
Go to GOV.UK and search for ‘Report and pay Capital Gains Tax on UK property’. Sign in to your Capital Gains Tax on UK property account. Check if you have any actions to complete.

However, there's nothing to see when I log onto the account. No actions. Can't even see the details of the return I submitted. I just want to get it paid - does anyone have any idea what happens next and timescales?

Will I get a letter in the post with a statement and options for how to pay? Or will this appear in the online account at some point?

Nobody at HMRC seems to answer the phone at the moment so can't get any answers.

You cannot pay using your account if you’re reporting a gain on behalf of an estate as a personal representative (executor or administrator). HMRC will let you know how to pay after you report the gain.

Source: https://www.gov.uk/report-and-pay-your-capital-gains-tax/if-you-sold-a-property-in-the-uk-on-or-after-6-april-2020

bobster2

Marcon said:

You cannot pay using your account if you’re reporting a gain on behalf of an estate as a personal representative (executor or administrator). HMRC will let you know how to pay after you report the gain.

Source: https://www.gov.uk/report-and-pay-your-capital-gains-tax/if-you-sold-a-property-in-the-uk-on-or-after-6-april-2020

Thanks. Yes - I saw that I have to report the gain via my account (as I did) - but cannot actually submit the payment via that account.

But does anyone happen to know how they are going to let me know? Physical letter? Or message in my account? And how before I'm going to hear anything?

As I said - can't get through to anyone on the phone.

Marcon

bobster2 said:

Marcon said:

You cannot pay using your account if you’re reporting a gain on behalf of an estate as a personal representative (executor or administrator). HMRC will let you know how to pay after you report the gain.

Source: https://www.gov.uk/report-and-pay-your-capital-gains-tax/if-you-sold-a-property-in-the-uk-on-or-after-6-april-2020

Thanks. Yes - I saw that I have to report the gain via my account (as I did) - but cannot actually submit the payment via that account.

But does anyone happen to know how they are going to let me know? Physical letter? Or message in my account? And how before I'm going to hear anything?

As I said - can't get through to anyone on the phone.

There's no point trying to get through on the phone. You'll get the answer that they will 'be in touch' - and it'll take as long as it takes. Don't worry, you've done your bit and the ball is in their court. Likely to be by letter.

bobster2

Marcon said:

There's no point trying to get through on the phone. You'll get the answer that they will 'be in touch' - and it'll take as long as it takes. Don't worry, you've done your bit and the ball is in their court. Likely to be by letter.

Yes you're right.

I finally got through after an hour on hold (before reading your warning ). All I got was reassurance that they can see the return (sitting in a virtual pile) and that they will send a payment reference number when the return has been processed. But as I did the return electronically this will come by email rather than a letter. But no timescales. 

BooJewels

I wouldn't go holding your breath though. I submitted an estate CGT form - granted a paper one - it was officially recorded as received on 8th March by HMRC - still not had my payment reference to get it paid.  9 months and counting.

Last time I spoke to them in about August, when asked how long it was likely to be, the answer was "oh it'll be months yet, possibly many months".  I hope they're as generous with their timescales for me paying it.  I'm not holding my breath over that either though.

At one point they said they were 'going to be writing to "X, Y and Z" for information about your tax record'.  I said "good luck with that, they're the estate agents that sold the property".  

bobster2

BooJewels said:

I wouldn't go holding your breath though. I submitted an estate CGT form - granted a paper one - it was officially recorded as received on 8th March by HMRC - still not had my payment reference to get it paid.  9 months and counting.

Last time I spoke to them in about August, when asked how long it was likely to be, the answer was "oh it'll be months yet, possibly many months".  I hope they're as generous with their timescales for me paying it.  I'm not holding my breath over that either though.

At one point they said they were 'going to be writing to "X, Y and Z" for information about your tax record'.  I said "good luck with that, they're the estate agents that sold the property".  

Blimey! The person I spoke to said the oldest paper returns in the pile were from July. So you might want to chase them up again.

When it comes to evidence, I attached the same RICS valuation used for IHT purposes along with the statement of completion to show the gain - so I hope they won't have too many queries.

BooJewels

If I get sufficently bored one day, I might try and ring them - but I've been told so much contradictory information from one person to the next, that I'm not going to take it too seriously.

I didn't send the valuation in, as that figure was on the Probate form, but did send the EAs bill, along with the solicitors final statement and bill.  Not sure how the EA got recorded as my accountant though - other than their name sounding a bit like one. 

BooJewels

I did ring them this morning and they've traced my application through and it's at the last stage - paper 'estate' applications are handled manually though different departments.  She said I should now hear 'fairly soon'.  I asked if I'd get 9 months to pay and she said "no unfortunately, just 30 days from us issuing the payment reference, as usual", which seems a smidge harsh.  I will pay it straight away, but it seems a bit cheeky.

I did exaggerate a smidge though - I said they received it 8th March - but when I get the file out, I see that was the date I posted it, they entered it into their system on 14th March - so not actually 9 months until Wednesday.

bobster2

I guess "fairly soon" could mean a lot of things!!

As mine was electronic apparently my payment reference will arrive by email - and will probably get filtered into my spam folder. Just hope I notice it before the 30 days is up.

BooJewels

bobster2 said:

I guess "fairly soon" could mean a lot of things!!

As it happens it arrived today, dated 8th December, so it was seemingly already done when I spoke to them on Monday.

Interesting that the letter opens with "Thank you for contacting us on 14th March 2022" then ends with "We need to receive your payment by 9th January 2023."  Cheeky blighters - after making me wait 9 months.  I'm in two minds whether to pay it today in a 'yah-booh-sucks-that's-what-efficiency-looks-like' sort of way, or wait until 9th January.